Eppley Limited (EPLY) for the nine months ended September 30, 2017 recorded a 29% increase in interest income to $190.96 million, from $148.29 million booked in the previous year. While for the third quarter interest income amounted to $66.73 million relative to $55.85 million in 2016.

Interest Expenses amounted to $116.54 million, up 37% from $85.03 million for the corresponding period in 2016.

Consequently, net interest income rose 18% to $74.42 million, up from $63.26 million in the corresponding period of 2016. Net interest income for the quarter declined 13% to close at $24.08 million compared to $27.57 million reported in 2016.

Other operating income declined by 28% to total $39.48 million relative to $54.99 million in 2016. While administrative expenses increased by 11% to close at $63.14 million (2016: $56.95 million).

Share of net profit from joint venture accounted for using the equity method amounted to $833,000 relative to nil the year prior.

As such, pre-tax profit closed at $51.60 million for the nine months ended September 30, 2017, 16% less than the $61.29 million booked in 2016.  No taxes were incurred for the period and as such net profit attributable to shareholders amounted to $51.60 million, relative to net profit of $61.29 million in 2016. Third quarter net profit amounted to $21.05 million relative to $20.83 million in 2016.

Earnings per share for the nine months ended September 30, 2017 totalled $0.27 compared to $0.32 for the corresponding period in 2016, while earnings per share for the quarter amounted to $0.11 (2016: $0.11). The trailing twelve months EPS is $0.51. The total amount of shares outstanding used for this calculation was 1,283,122 units.

Balance Sheet Highlights:

As at September 30, 2017, total assets amounted to $2.46 billion, 45% more than last year’s $1.70 billion in 2016. The increase in the asset base was due mainly to ‘loans receivables’ and ‘cash and deposits’ which grew 30% and 284% respectively. ‘Loans receivables’ and ‘cash and deposits’ closed the period at $1.16 billion (2016: $890.47 million) and $392.15 million (2016: $102.05 million) respectively.

Shareholder’s Equity increased by 4% for nine months period, totalling $697.87 million compared to the previous year’s total of $672.41 million, this resulted in a book value per share of approximately $3.63 relative to $3.49 in 2016.

Disclaimer:

Analyst Certification -The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer (s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation (s) or view (s) expressed by that research analyst in this research report.

Company Disclosure -The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.